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Sakae Electronics Corporation (7567) AI Stock Analysis

JP:7567

Sakae Electronics Corporation

(TSE/TYO:7567)

Select Model
Rating:67Neutral
Price Target:JPY 743.00â–²(17.01% Upside)
Action:downgraded
Date:08/30/26

Sakae Electronics' score of 67 is driven primarily by robust technical momentum and an exceptionally strong balance sheet with minimal debt. However, its upside is heavily constrained by an early and fragile operational recovery, characterized by extremely thin margins and weak cash flow generation compared to historical highs. The current valuation is fair, but long-term outperformance will require sustained margin expansion and an improved return on shareholder equity.

Positive Factors
Conservative leverageConservative and stable leverage gives Sakae financial resilience and preserves flexibility for working-capital needs, investment, or shareholder returns. Growing equity further supports the balance sheet, reducing the risk that moderate operating volatility becomes a solvency or refinancing constraint.
Negative Factors
Volatile revenue and marginsRepeated swings in revenue and profitability make Sakae’s earnings base less predictable and reduce confidence in near-term profit durability. Margin compression also limits the benefit of sales growth, making sustained recovery dependent on maintaining the latest improvement through future periods.

Sakae Electronics Corporation (7567) vs. iShares MSCI Japan ETF (EWJ)

-10%0%10%20%30%40%50%JP:7567+33.78%EWJ+16.91%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
Market Cap
JPY 3.22B
Dividend Yield
1.73%
Average Volume (3M)
25.22K
Price to Earnings (P/E)
16.6
Beta (1Y)
0.75
Revenue Growth
28.28%
EPS Growth
696.07%
Country
Japan
Employees
85
Sector
General
Sector Strength
55
Industry
Electrical Equipment & Parts

Sakae Electronics Corporation Business Overview & Revenue Model

Company Description

Established in Tokyo, Japan, in 1967, Sakae Electronics Corporation operates as a leading Japanese distributor of electronic components. Their extensive product catalog addresses a wide array of industrial and technological requirements. This include...

Sakae Electronics Corporation Financial Statement Overview

Summary

The company boasts a highly conservative balance sheet with a 0.10x debt-to-equity ratio, but its score is weighed down by razor-thin operating margins (1.9%), a low return on equity (2.4%), and cash generation that remains well below historical peaks despite recent stabilization.

Income Statement

55Neutral

Balance Sheet

80Positive

Cash Flow

52Neutral
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue7.33B7.33B6.43B8.37B10.84B9.01B
Gross Profit1.17B1.17B1.03B1.23B1.75B1.49B
EBITDA178.13M181.45M80.22M373.00M934.95M734.98M
Net Income113.84M113.84M37.27M230.74M651.42M531.66M
Balance Sheet
Total Assets7.36B7.36B6.69B7.55B7.44B6.56B
Cash, Cash Equivalents and Short-Term Investments1.09B1.09B1.16B1.60B1.49B1.15B
Total Debt500.00M500.00M500.00M500.00M500.00M515.89M
Total Liabilities2.54B2.54B2.22B2.99B3.30B3.03B
Stockholders Equity4.82B4.82B4.47B4.56B4.14B3.53B
Cash Flow
Free Cash Flow025.06M-327.61M167.85M398.75M225.41M
Operating Cash Flow025.06M-325.96M192.82M473.18M243.25M
Investing Cash Flow0-32.27M-67.12M-25.93M-75.57M181.22M
Financing Cash Flow0-50.79M-50.79M-60.94M-51.45M-256.88M

Sakae Electronics Corporation Technical Analysis

Technical Analysis SentimentPositive
Last Price635.00

Price Trends

50DMA624.10Positive
100DMA585.19Positive
200DMA545.58Positive

Market Momentum

MACD1.96Positive
RSI51.31Neutral
STOCH68.31Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7567, the sentiment is Positive. The current price of 635.00 is below the 20-day moving average (MA) of 638.50, above the 50-day MA of 624.10, and above the 200-day MA of 545.58, indicating a neutral trend. The MACD of 1.96 indicates Positive momentum. The RSI at 51.31 is Neutral, neither overbought nor oversold. The STOCH value of 68.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:7567.

Sakae Electronics Corporation Peers Comparison

Overall Rating

UnderperformOutperform
Sector (55)

Financial Indicators

JP:7567 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:6643JP:664387OutperformJPY 23.84B8.44―2.92%12.68%31.19%
JP:5819JP:581979OutperformJPY 11.37B9.66―4.23%-0.88%-1.47%
JP:6637JP:663770OutperformJPY 48.47B11.06―1.63%15.89%2.08%
JP:7567JP:756767NeutralJPY 3.18B16.61―1.73%28.28%696.07%
JP:6943JP:694361NeutralJPY 4.86B6.83―2.18%24.22%―
JP:6905JP:690560NeutralJPY 51.46B-19.24―4.39%17.15%-463.16%
Sector *55Neutral$6.65B3.83-15.92%6.20%10.91%7.18%

* General Sector Average

Performance Comparison

-25%0%25%50%75%JP:7567JP:5819JP:6637JP:6643JP:6905JP:6943Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26Nov '26
JP:7567 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:7567Sakae Electronics Corporation635.00162.3134.34%
JP:5819Canare Electric Co., Ltd.1679.00-127.27-7.05%
JP:6637Terasaki Electric Co., Ltd.3750.00-866.67-18.77%
JP:6643Togami Electric Mfg.Co., Ltd.5140.001371.2436.38%
JP:6905Cosel Co., Ltd.1252.0072.876.18%
JP:6943NKK SWITCHES CO., LTD.5960.001460.1932.45%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 29, 2026